Tips and trade secrets ;)

Just in case you missed it, the $3000 First Home Owner Grant was removed for eligible contracts dated from and including 3 October 2015. Here's the run down...

The good news is this only affects existing residential properties. However where eligible you should still be able to attain the 'First Home Owner Transfer Duty Concession' namely Nil duty for approved First Home Owners in the price $430k and under, then scaled up to normal levels up to $530k.

The 'New Homes' Grant of up to $10k currently remains in place for approved First Home Buyers. Along with Transfer Duty Concessions within the above mentioned ranges.

The change in FHOG

According to the Office of State Revenue, the first home owner grant (FHOG) is a one-off grant payable to first home owners that satisfy all the eligibility criteria.

The 2015-16 State Budget included a measure to abolish the FHOG of up to $3,000 for the purchase of established homes.

This change will apply to contracts for the purchase of an established home entered into on or after 3 October 2015. First home owners who entered into a contract to purchase an existing home before that date will still be able to apply for and receive the FHOG and related first home owner rate of duty for a period of 12 months after completion of the eligible contract.

On or after 3 October 2015, purchasers of established homes will still be able to apply for the first home owner rate of duty if the value of the home is below the current threshold of $530,000.The FHOG of up to $10,000 for ‘new’ homes will remain unchanged.Please note: There may be a duty liability on the eligible first home owner transaction....OTHER ASSISTANCE FOR FIRST HOME BUYERSThe Home Buyers Assistance Account, which provides assistance of up to $2,000, is established under the Real Estate and Business Agents Act.

This grant is administered by the Department of Commerce.Source: Office of State Revenue, Perth

Still confused?

Download a free copy of the 'First Home Owner Grant' fact sheet below, or for an explanation of these changes in plain English, contact Damien at A1 Conveyancing to check where you stand.